Impact on Hospital Costs through the Tax Equity and Fiscal Responsibility Act of 1982

Abstract

The Tax Equity and Fiscal Responsibility Act of 1982 was enacted to curb hospital spending through reducing reimbursement from Medicare and Medicaid. By design, the legislation will lower the federal share of expenditures for hospital care. Whether total hospital costs are affected by this act is the central question explored in this research paper. Questions concerning the impact of TEFRA reach as far as the goals and objectives of national policy dealing with health care.